Mortgage Market Remains Below 2010 Levels

More people are making property investments, but the market is still below 2010 levels, a new report on home loan lending has revealed...

More people are making property investments, but the market is still below 2010 levels, a new report on home loan lending has revealed. The Council of Mortgage Lenders (CML) found that banks helped 41,500 investors purchase a home in May with mortgages totalling GBP 5.9 billion, up 1.7 per cent from April but down five per cent on a year-on-year basis.

Data from the month also shows that there was little change in the number of first-time buyers moving on to the property ladder, with April's figure of 15,800 increasing to 15,900 during the month, but also showing a 2.5 per cent decrease compared to May 2010.

Michael Coogan, director-general of the CML, said: "There is no evidence of any drastic changes on the horizon or any significant shifts in direction for the mortgage market. These stable conditions are expected to continue for the rest of the year." The group recently reported that gross mortgage lending in May was GBP 11.3 billion, 12 per cent more than the previous month and one per cent up on 2010's equivalent figures.

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